Frequently Asked Questions (FAQ)

We've collected the most common questions investors ask about insider trading data, SEC Form 4 filings, and how to use them in your research. For deeper dives, we've linked to full educational guides.

What is SEC Form 4?

SEC Form 4 is a filing insiders must submit whenever they buy or sell company stock. It provides transparency into insider activity. Read our full guide on SEC Form 4 »

Why do insider trades matter?

Insider trades can reveal confidence (buys) or caution (sells) from those closest to the business. Patterns such as cluster buying often carry the strongest signals. Learn more about why insider trades matter »

How should I use insider trading data?

The best strategy is to use insider trading data alongside fundamentals and technical analysis. Look for meaningful transactions and cluster activity. See our guide on using insider trading data »

Does insider buying always mean the stock will go up?

No. While studies show insider buying often outperforms, it's not guaranteed. Market conditions, regulations, and outside factors can still affect price. Insider data should be one piece of your overall research.

Are insider sales always a bad sign?

Not necessarily. Insiders may sell for personal reasons like taxes, diversification, or estate planning. Pay attention to unusually large or repeated sales, or cluster selling by multiple insiders.

Is using insider trading data legal?

Yes. The SEC requires insiders to disclose trades publicly. Following this data is 100% legal as long as you use it responsibly for research purposes.

Where can I track insider trades easily?

You can search directly in the SEC's EDGAR database, but it can be overwhelming. At ChartDriven.com, we collect, organize, and visualize insider trades so you can quickly spot opportunities and trends.

What about insider trading in politics?

Allegations of insider trading in politics including high profile names like Nancy Pelosi, Donald Trump, and others raise questions about whether lawmakers use privileged access for financial gain. Read our article on insider trading in politics »